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Sample Letter for Payoff of Loan held by Mortgage Company

Lien Payoff Letter Template With Example In North Carolina

Q: Do lien waivers need to be notarized in North Carolina?

A subcontractor&#039;s right to a lien through subrogation is waived if the contractor signs a lien waiver before the subcontractor has perfected their lien on the property. North Carolina has no requirement that a lien waiver must be notarized.

Category:

Letters - Loans and Lending - Mortgages Payoff

State:

Multi-State

Control #:

US-0019LTR

Format:

Instant download

Description

The Lien Payoff Letter template with example in North Carolina serves as a formal request to obtain information regarding the payoff of a loan lien. This document is particularly useful for attorneys, partners, owners, associates, paralegals, and legal assistants involved in real estate or financial transactions. It outlines specific details, such as the loan holder, the request for confirmation of payment status, and the calculation of interest. Users can adapt the provided model to fit their unique circumstances by filling in the necessary details such as names, addresses, and relevant dates. This formal communication helps facilitate the resolution of outstanding payments and clarifies any increases related to insurance or accrued interest. The letter conveys professionalism and establishes a clear expectation for follow-up on payment status, making it a crucial tool in property management and financial dealings within North Carolina.

Example of a mortgage payoff statement

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FAQ

To ensure a proper payoff, sellers or closing agents must contact the lien holder or their attorney for an official payoff statement. This statement outlines the final payoff amount and includes details on principal balances, accrued interest, attorney's fees, and administrative costs.

A person may ask a court in North Carolina to remove a judgment lien, mainly if there is a reason to believe that the lien is invalid. For example, if a debtor believes that the creditor obtained the lien through fraud, coercion, or other illegal methods, it is possible to file a motion in court to remove the lien.

A subcontractor's right to a lien through subrogation is waived if the contractor signs a lien waiver before the subcontractor has perfected their lien on the property. North Carolina has no requirement that a lien waiver must be notarized.

If the lien holder provides a lien release letter, does it need to be notarized? No, but needs to be completed fully –printed name, signature, title, and date.

A payoff request allows a third party to receive the current balance due to release a lien or facilitate a business transfer (bulk sale transfer or liquor license). To release a lien or facilitate a bulk sale transfer, businesses must be in good standing to receive a payoff request.

Legally, the only states that mandate the notarization of lien waivers are Mississippi and Wyoming. Texas previously required notarization, but that hasn't been the case since 2022.